US personal care ingredient manufacturer Hallstar has invested in BioReNuva, a biotechnology developer based in Austin, Texas.
BioReNuva has a full range of glycolipids including sophorolipids, rhamnolipids, and a ready-made biotechnology-based surfactant blend.
Hallstar said the minority stake will enable it to explore novel approaches in the biosynthesis space, leveraging BioReNuva's expertise and manufacturing capabilities.
Under the terms of the deal, Hallstar will provide board-level oversight, while day-to-day operations will continue to be independently managed solely by the BioReNuva team.
Hallstar CEO John Paro said the investment is a logical extension of the Chicago company’s activity in biotech.
“Our existing innovation in natural functional and active ingredients has an impressive track record, and has underscored customers’ passionate need for ingredients that are safe, biodegradable, and effective,” he added.
“We see a future where biotech excipients – biosurfactants, for example, where BioReNuva already excels – will be a large portion of total growth in the beauty and personal care market.”
BioReNuva founder Dennis Zlotnik said biotech has a significant runway for market capture as scale and costs improve, and as consumers increasingly demand ingredients with low environmental impact.
“My team and I have a strong affinity with Hallstar’s priorities, and we welcome this partnership. Strategic investors contribute to our company’s steady growth, and allow us to realize key goals when it comes to technical development, production capacity, and expansion into multiple verticals,” he added.
Financial terms of the deal were not disclosed.
